Regulators, startups eye transparency efforts for private companies

When it comes to private companies, data transparency still lags its public market equivalents, and a lack of data quality and availability is a barrier to increased investor participation. But an alliance between a startup and niche brokers is aiming to change that.

new opportunity

Trading stock in privately held companies that have not yet listed on exchanges has exploded—as detailed in WatersTechnology last yearcreating a raft of new marketplaces and datasets offering trading access and insight into the value and behavior of private stocks. This movement has also prompted efforts to deliver greater transparency into these markets by regulators and new vendors alike.

Leading the charge is the US Securities and Exchange Commission (SEC), which is planning to step up its

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